Stitch Fix (NASDAQ:SFIX) Shares Gap Down - What's Next?

Stitch Fix, Inc. (NASDAQ:SFIX - Get Free Report)'s stock price gapped down before the market opened on Friday . The stock had previously closed at $4.93, but opened at $4.72. Stitch Fix shares last traded at $4.50, with a volume of 395,278 shares changing hands.

Wall Street Analysts Forecast Growth

A number of equities research analysts recently commented on the company. UBS Group increased their price target on Stitch Fix from $2.80 to $5.00 and gave the company a "neutral" rating in a research report on Wednesday, December 4th. Telsey Advisory Group increased their target price on shares of Stitch Fix from $4.00 to $6.00 and gave the company a "market perform" rating in a report on Wednesday, December 11th. Finally, Canaccord Genuity Group upped their price objective on shares of Stitch Fix from $5.00 to $6.00 and gave the stock a "hold" rating in a research report on Wednesday, December 11th. Two equities research analysts have rated the stock with a sell rating and seven have given a hold rating to the company. According to data from MarketBeat, the stock has an average rating of "Hold" and an average target price of $3.96.

Stitch Fix Trading Down 4.1 %

The stock's 50-day moving average price is $4.22 and its two-hundred day moving average price is $3.84. The stock has a market capitalization of $599.94 million, a P/E ratio of -5.70 and a beta of 1.99.

Stitch Fix (NASDAQ:SFIX - Get Free Report) last announced its quarterly earnings data on Tuesday, December 10th. The company reported ($0.05) earnings per share for the quarter, beating the consensus estimate of ($0.14) by $0.09. The business had revenue of $318.82 million during the quarter, compared to analyst estimates of $306.88 million. Stitch Fix had a negative return on equity of 32.71% and a negative net margin of 7.71%. Stitch Fix's revenue was down 12.6% compared to the same quarter last year. During the same period in the prior year, the company earned ($0.30) earnings per share. On average, equities research analysts predict that Stitch Fix, Inc. will post -0.46 earnings per share for the current year.

Insider Buying and Selling

In other news, insider Anthony Bacos sold 16,720 shares of the firm's stock in a transaction on Friday, December 13th. The stock was sold at an average price of $4.61, for a total value of $77,079.20. Following the completion of the transaction, the insider now directly owns 913,962 shares of the company's stock, valued at $4,213,364.82. This trade represents a 1.80 % decrease in their ownership of the stock. The transaction was disclosed in a legal filing with the Securities & Exchange Commission, which is available at the SEC website. Also, Director Katrina Lake sold 725,002 shares of the business's stock in a transaction on Wednesday, December 11th. The shares were sold at an average price of $5.78, for a total value of $4,190,511.56. The disclosure for this sale can be found here. 16.95% of the stock is currently owned by insiders.

Institutional Investors Weigh In On Stitch Fix

Institutional investors and hedge funds have recently modified their holdings of the company. Caprock Group LLC bought a new stake in Stitch Fix during the 3rd quarter worth approximately $33,000. Wealth Enhancement Advisory Services LLC purchased a new position in shares of Stitch Fix during the 3rd quarter valued at $36,000. Meeder Asset Management Inc. bought a new position in shares of Stitch Fix in the third quarter worth $44,000. CWM LLC raised its position in shares of Stitch Fix by 112.1% in the third quarter. CWM LLC now owns 25,175 shares of the company's stock worth $71,000 after buying an additional 13,308 shares in the last quarter. Finally, Creative Planning boosted its stake in Stitch Fix by 32.1% during the third quarter. Creative Planning now owns 25,477 shares of the company's stock valued at $72,000 after buying an additional 6,194 shares during the period. 71.04% of the stock is owned by hedge funds and other institutional investors.

Stitch Fix Company Profile

Stitch Fix, Inc sells a range of apparel, shoes, and accessories for men, women, and kids through its website and mobile application in the United States and the United Kingdom. It offers denim, dresses, blouses, skirts, shoes, jewelry, and handbags under the Stitch Fix brand. The company was formerly known as rack habit inc.